Increase the occupancy rate to 80% or higher over the next 12 monthsto increase the value.

You can lend at higher rates or look for debt funds that are taxed differently.

Im wondering if other markets might be better, with somewhat newer houses and higher quality tenants?

With a 7% interest rate and high HOA fees, the key is evaluating if your skills and investments can generate higher returns elsewhere.

Quote from @Devin James: Gross Margin is an important calculation for developers/builders.Gross Margin = Gross Profit / RevenueWe shoot for a 20% gross margin on our New Construction HomesReal #’s:Home Sales Price: $374KClosing Cost: $18,700Cost of Construction: $258KLand Cost: $30KGross Profit = $67K$67K/$374K = 17.9% Gross MarginCame slightly short of our goal of 20%Homes Values and Build Costs are constantly fluctuatingI wish we had a crystal ball build larger homes. average new build in our market is 2200 square feet, 4 beds, 3 baths, 2 car garage and sells for 515k. construction costs lower if design is good and find the median or average home sale price and push that up. my guess is you built too small. 347k is cheap. we target 429-479k price range in columbus ohio for single family homes and also only purchase close to urban core where premiums are 20% higher and we build smaller like 1500 sq ft where price per square foot goes up. 

Protection from lawsuits is a big item to consider as well, especially in higher price range properties. 

Keep in mind a HELOC rate will be much higher because of the CLTV and risk.

While rates can be higher, they are efficient for temporary needs.2.

Also, you could consider buying something with "hard money"; this comes at a higher interest rate, but you might be able to get into a property and either flip it or refinance it.

Your ROI will be significantly higher in Boston real estate than in the stock market.